On The Money: Schumer to trigger reconciliation process on Wednesday | Four states emerge as test case for cutting off jobless benefits

On The Money: Schumer to trigger reconciliation process on Wednesday | Four states emerge as test case for cutting off jobless benefits
© Greg Nash

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THE BIG DEAL—Schumer to trigger reconciliation process on Wednesday: Senate Majority Leader Charles SchumerChuck SchumerAn August ultimatum: No recess until redistricting reform is done Biden to meet with 11 Democratic lawmakers on DACA: report Schumer's moment to transform transit and deepen democracy MORE (D-N.Y.) says he will convene a meeting with all 11 Democratic members of the Senate Budget Committee on Wednesday to begin the process for passing a budget resolution, paving the way for Democrats to pass a major infrastructure bill on a party-line vote.

  • Schumer noted that a budget resolution would set the stage for passing elements of Biden’s $2.25 trillion American Jobs Plan and $1.8 trillion American Families Plan with simple majority votes.
  • He said he hopes to pass the budget resolution for fiscal 2022 in July.
  • That would set the stage for passing a massive infrastructure investment bill with only Democratic votes after the August recess.

The Hill’s Alexander Bolton has more here.

The background: Schumer also plans to bring a scaled-down infrastructure package currently at the center of bipartisan talks to the Senate floor in July under regular order. That bill would need 60 votes to pass outside the reconciliation process. 

But it’s running into opposition from Senate progressives such as Sen. Elizabeth WarrenElizabeth WarrenCalifornia Democrats warn of low turnout in recall election Pelosi disputes Biden's power to forgive student loans Warren hits the airwaves for Newsom ahead of recall election MORE (D-Mass.), who say they won’t vote for a bipartisan infrastructure bill unless all 50 members of the Democratic caucus agree on the size and shape of the later reconciliation bill.

Bolton breaks down that dynamic here.

 

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LEADING THE DAY

Four states emerge as test case for cutting off jobless benefits: Alaska, Iowa, Mississippi and Missouri this week emerged as a collective test case for whether cutting off federal unemployment benefits will help push people back into the job market or contribute to a slowdown in the economic recovery.

But the first four states taking the plunge — with unemployment rates ranging from 3.8 percent to 6.7 percent — may not get the results they’re expecting, some economists say.

The Hill’s Niv Elis explains why here.

 

McConnell presses for 'actual consequences' in disclosure of tax data: Senate Minority Leader Mitch McConnellAddison (Mitch) Mitchell McConnellThe Hill's Morning Report - Presented by Facebook - Biden sets new vaccine mandate as COVID-19 cases surge Democrats warn shrinking Biden's spending plan could backfire Trump takes two punches from GOP MORE (R-Ky.) on Tuesday said that the Department of Justice (DOJ) and FBI need to investigate the disclosure of confidential tax information to ProPublica and bring criminal charges against those who are responsible.

"Actual consequences. As a matter of justice, and as a practical deterrent," McConnell said in a Senate floor speech. “The federal government owes taxpayers nothing less.”

The floor speech comes after McConnell, Senate Finance Committee ranking member Mike CrapoMichael (Mike) Dean CrapoThe Hill's 12:30 Report - Presented by Facebook - US gymnast wins all-around gold as Simone Biles cheers from the stands The Hill's Morning Report - Presented by Facebook - A huge win for Biden, centrist senators The 17 Republicans who voted to advance the Senate infrastructure bill MORE (R-Idaho) and Senate Judiciary Committee ranking member Chuck GrassleyChuck GrassleyThe Hill's 12:30 Report - Presented by Facebook - US gymnast wins all-around gold as Simone Biles cheers from the stands The Hill's Morning Report - Presented by Facebook - A huge win for Biden, centrist senators 'Blue wave' Democrats eye comebacks after losing reelection MORE (R-Iowa) sent a letter to the DOJ and the FBI urging them to investigate the disclosure and prosecute whoever was behind it.

The Hill’s Naomi Jagoda brings us up to speed here.

Read more: Democrats are under pressure to increase taxes on the wealthy following a blockbuster report on the taxes of prominent U.S. billionaires. 

 

ON TAP TOMORROW:

 

GOOD TO KNOW

  • The Government Accountability Office (GAO) on Tuesday ruled that President Biden’s move to freeze border wall funds did not violate budgetary law, angering Republicans.
  • The Securities and Exchange Commission on Tuesday announced insider trading charges against six California men who allegedly used nonpublic financial information to generate roughly $1.7 million.
  • Retail and food services sales fell slightly in May as consumers shifted spending away from goods and toward experiences that were limited during the coronavirus pandemic, according to new federal data.
  • Prices charged by producers for goods and services rose 5.3 percent in the 12 months leading into May, according to data released Tuesday by the Labor Department.
  • The Federal Reserve is facing growing scrutiny from Wall Street and Washington over its cryptic plans to eventually pull back stimulus from an economy that’s starting to struggle with inflation.

 

ODDS AND ENDS

  • Lina Khan, a prominent critic of Big Tech, has been named chairwoman of the Federal Trade Commission (FTC), a White House spokesperson confirmed Tuesday.
  • The United States and the European Union (EU) on Tuesday formally established a Trade and Technology Council (TTC) to coordinate on critical technology issues such as developing semiconductors, researching emerging fields and securing supply chains.